Ethereum: Ponzi scheme or real opportunity? Users wary as gas costs soar

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Ethereum (ETH) is experiencing an unprecedented spike in inactivity. From institutional adoption to growing traction, and so on. Given the demand, participants in the Ethereum (ETH) network raised $2.48 billion in fees, up from $1.7 billion a year ago.

Are you happy now?

The bullish trend of Ethereum throughout 2022 has resulted in a good increase in trading and transaction volumes, as well as high inflows of investors. The accumulation trend was at its peak and this also led to a profitable month for Ethereum miners. In fact, Ethereum miner revenue has hit an ATH, as seen in the chart below.

What led up to this hike? Apecoin owners obtained NFTs from Otherdeed, which also caused more ETH to be burned. This meant more demand. APE owners had to send their cryptocurrency through the Ethereum (ETH) network to the affected smart contract and the network suffered a huge load during these hours.

While the contestants were eager to get their hands on an Otherdeed NFT, they found themselves in a gas war. This drove up transaction costs, earning Ethereum miners over $87 million in just one hour.

Consider This – They made $87,664,337 in a single hour. Indeed, they were happy with this income.

Source: glass knot

For context, a total of $172 million in additional transaction costs would have been paid during the gas war. At press time, the average gas price of ETH stood at 52.55 GWEI.

From one war to another?

Rising gas charges, of course, would anger some part of the crowd. Following this event, ETH users paid a median fee of $4,830 per transaction over a one-hour window.

Different ETH users have shared their dissatisfaction with the same. For example, another user criticized Yuga Labs for starting a gas war.

Additionally, another ETH enthusiast called ETH a “Ponzi scheme” in a tweet on May 1.

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